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[Cushie]

Anyone have ThisGuy's contact info?  If he vetted them maybe he spoke to someone on the loan. 

[112233]

That upon information and belief, on August 8, 2007, a loan of $24,750.00 was
extended by the Defendant, Prosper Marketplace, Inc.

That prior to the granting of the loan, the Plaintiff was not contacted nor did he
speak to any representatives of the Defendant, Prosper Marketplace, Inc. and never signed any
documents and was entirely unaware of the actions of the Defendant, Ashley Gaerke.

unbelievable if true. I thought the big loans were always verified by phone. If they did do a phone verification, didnt the gentlemen sound a little feminine?

[Risk_Reward]

That upon information and belief, on August 8, 2007, a loan of $24,750.00 was
extended by the Defendant, Prosper Marketplace, Inc.

That prior to the granting of the loan, the Plaintiff was not contacted nor did he
speak to any representatives of the Defendant, Prosper Marketplace, Inc. and never signed any
documents and was entirely unaware of the actions of the Defendant, Ashley Gaerke.

unbelievable if true. I thought the big loans were always verified by phone. If they did do a phone verification, didnt the gentlemen sound a little feminine?

Prosper doing verification, are you talking about some other company? 

[regeneration]

not that it matters, but the first thing I learned was not to bid on dental emergencies...

[112233]

one question in my mind is when did prosper become aware of this id theft claim (if at all)? did they know about this and didnt repurchase the loan? if so, their legal problems just got worse

the court document is 2.5 months old

ira01 I think was right about this ID theft promise of theirs

[ira01]

Here is the loan in question. Guess who's on it for $560.00. Thats right me.

https://www.prosper.com/secure/account/lender/lender_loan_details.aspx?id=17800

Holy shit!  This is a major smoking gun that Prosper does not abide by its ID-theft guarantee (which we already pretty much knew by the almost complete absence of any loans originated in almost a year that have been repurchased by Prosper).  Here we have a federal court pleading by the supposed "borrower" denying that he ever borrowed money from Prosper, and stating that his separated wife obtained the loan in his name through ID-theft.  Does Prosper have ANY evidence at all that this is not true?  I strongly doubt it.  So why hasn't Prosper repurchased this loan?  Because Prosper is apparently now operating on the "modified 100% ID-theft guarantee" -- only after lenders learn of ID-theft and raise a shitstorm will Prosper repurchase a loan.  

Beerbud (and anyone else on this loan), you should immediately send a demand to Prosper that it repurchase this loan, and demand an explanation of why Prosper hasn't done so previously, given its knowledge that this loan was procured by ID-theft for several months already.  

[regeneration]

It doesn't say whose checking account was used.  Would they still have joint checking after being separated?

[ira01]

one question in my mind is when did prosper become aware of this id theft claim (if at all)? did they know about this and didnt repurchase the loan? if so, their legal problems just got worse

My feelings exactly.  Xraider quoted from Prosper's Answer (its pleading in the BK court), so obviously it knew about the ID-theft claim before then (since the debtor is seeking a declaratory judgment that he doesn't owe the creditors anything, each of those creditors (including Prosper) would have been served with the debtor's complaint).  

xraider, can you please post Prosper's Answer?  Also, did the defendant (the wife) file an Answer?  What did she have to say about all this?

the court document is 2.5 months old

ETA:  The original Complaint was filed on January 23, 2008, and named Prosper as a Defendant.  Presumably, Prosper was served sometime shortly thereafter (assuming the debtor's lawyer does a better job with service than Prosper's NAT lawyers).  So Prosper probably knew about the ID-theft claim FIVE MONTHS AGO.  Xraider, what is the date Prosper filed its Answer?

ira01 I think was right about this ID theft promise of theirs

[beerbud1]

I emailed prosper right after xraider made me aware of this proceeding. I always suspected something was fishy. In the listing the Borrower claimed to earn over $100,000. when the loan started going late I thought What? I e-mailed the borrower and got a response back from the wife saying Oh don't worry, He'll pay the loan!

[Urbi_et_Orbi]

I don't think emailing Prosper is a sufficient response at this point.

[ira01]

I emailed prosper right after xraider made me aware of this proceeding. I always suspected something was fishy. In the listing the Borrower claimed to earn over $100,000. when the loan started going late I thought What? I e-mailed the borrower and got a response back from the wife saying Oh don't worry, He'll pay the loan!

I would sure like to know what verification Prosper did on this one.

[Xenon481]

From Prosper's answer, which I'll upload if anyone cares:

Loans in a total amount of $25,000.00 were extended to the Plaintiff by individual bidders using Prosper’s website (“Lenders”) and the funds were disbursed to the Plaintiff by Prosper through direct deposit to the joint checking account of Defendant, Ashley Gaerke, and the Plaintiff. Prosper acted as the Plaintiff’s authorized agent to procure loans in the total amount of $25,000.00 from various Lenders on behalf of the Plaintiff. By way of further answer, it is denied that Prosper loaned any money directly to the Plaintiff or Defendant, Ashley Gaerke.

 

(bolding mine)

I can upload the answer if anyone cares. 

HOLY FREAKING CRAP, BATMAN!!

Prosper just either completely lied to the court or has been lying to us via the LRA!

Edit:  If I'm an original lender, I want ALL borrower information obtained.

Edit2: I have nominated this thread to be moved to The Lobby as this is information that everyone needs to know.

[Urbi_et_Orbi]

Sounds like a good candidate for extra attention during discovery.

[beerbud1]

This loan was also supposedly vetted by "THISGUY"

[ira01]

From Prosper's answer, which I'll upload if anyone cares:

Loans in a total amount of $25,000.00 were extended to the Plaintiff by individual bidders using Prosper’s website (“Lenders”) and the funds were disbursed to the Plaintiff by Prosper through direct deposit to the joint checking account of Defendant, Ashley Gaerke, and the Plaintiff. Prosper acted as the Plaintiff’s authorized agent to procure loans in the total amount of $25,000.00 from various Lenders on behalf of the Plaintiff. By way of further answer, it is denied that Prosper loaned any money directly to the Plaintiff or Defendant, Ashley Gaerke.

 

(bolding mine)

I can upload the answer if anyone cares. 

HOLY FREAKING CRAP, BATMAN!!

Prosper just either completely lied to the court or has been lying to us via the LRA!

Edit:  If I'm an original lender, I want ALL borrower information obtained.

Edit2: I have nominated this thread to be moved to The Lobby as this is information that everyone needs to know.

Yeah, someone ought to file a copy of the LRA with the BK Court -- I think Prosper has some 'splaining to do:

* Note: Your role as a Prosper "Lender" is that of a loan purchaser, and your rights and obligations as a purchaser or prospective purchaser of loans originated in the Prosper marketplace are set forth below. Although you are referred to in this Agreement and on the Prosper website as a "Lender," you are not actually lending your money directly to Prosper borrowers, but are, instead, making loan purchase commitments and purchasing promissory notes from Prosper, representing loans made by WebBank [used to be Prosper], a Utah-chartered Industrial Bank ("WebBank") to borrowers and subsequently assigned to Prosper. All loans originated through Prosper are made to borrowers by WebBank [used to be Prosper] from its own funds, and then subsequently sold and assigned by WebBank to Prosper. Prosper, in turn, will sell and assign such loans to the winning bidder or bidders on the listing without recourse to Prosper. WebBank is the originating lender and all loans are made under its charter as a Utah Industrial Bank. Prosper uses the term "Lender" instead of "loan purchaser" for the sake of brevity and simplicity.

Although this is from the current (post-WebBank) LRA, the earlier versions were similar in this respect, IIRC.

ETA:  Here is what the LRA said when I signed up (March 2007):

* Note: Your role as a Prosper "lender" is that of a loan purchaser, and your rights and obligations as a purchaser or prospective purchaser of Prosper loans are set forth below. Although you are referred to in this Agreement and on the Prosper website as a "lender," you are not actually lending your money directly to Prosper borrowers, but are, instead, purchasing loans from Prosper. All loans originated through Prosper are made by Prosper Marketplace, Inc. from its own funds, and then sold by Prosper to the winning bidder or bidders on the listing. Prosper is the originating lender for licensing and regulatory reasons and is licensed in all states where licensing is required. Prosper uses the term "lender" instead of "loan purchaser" for the sake of brevity and simplicity, and for the convenience of Prosper users who appropriately view Prosper as a marketplace for connecting individuals who wish to borrow money, with people who have money and the desire to fund loans to other individuals.